Simply put, credentials are college degrees, apprenticeships, certifications or licenses that give you credibility in your work field. They show your employer and your customers that you have the knowledge and skills to perform your professional function.
The phrase from the excerpt that suggests that Krogstad is prone to engage in crime and may, in fact, be a criminal is the following one:
diseased moral character
It is the only option that talks about somebody being a bad person, which is what Krogstad is. The other options do not show that moral ambiguity this option does.
she turns them into pigs so
C. Swine
Movies: Titanic-1997, Sparticus-1960
Novels: Lord of the Rings, The Hobbit